With a long leasehold premises in Tenterden, you are actually buying a right to live in a property for a set period of time. These days flat leases are usually granted for 99 years or 125. Many leasehold owners become complacent as this seems like a long period of time, you should consider a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease gets disproportionately greater particularly once there are less than eighty years remaining. Residents in Tenterden with a lease drawing near to 81 years unexpired should seriously think of extending it without delay. Once the lease term has under eighty years outstanding, under the current statute the freeholder can calculate and demand a greater amount, assessed on a technical calculation, known as “marriage value” which is payable.
Leasehold residencies in Tenterden with in excess of 100 years unexpired on the lease are sometimes regarded as a ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little upside in buying the freehold unless savings on ground rent and service charges warrant it.
| Lender | Requirement |
|---|---|
| Birmingham Midshires | |
| The Mortgage Works | |
| Royal Bank of Scotland | |
| Virgin | |
| Yorkshire Building Society |
Irrespective of whether you are a tenant or a landlord in Tenterden,the lease extension solicitors that we work with will always be happy to discuss any residential leasehold matters and offer you the benefit of their in-depth market knowledge and the close ties they enjoy with Tenterden valuers.
Nathaniel was the the leasehold owner of a studio apartment in Tenterden being sold with a lease of just over sixty years unexpired. Nathaniel on an informal basis approached his landlord being a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder was prepared to grant an extension on non-statutory terms taking the lease to 125 years subject to an increased rent to £200 yearly. Ordinarily, ground rent would not be payable on a lease extension were Nathaniel to invoke his statutory right. Nathaniel obtained expert legal guidance and secured satisfactory deal without going to tribunal and readily saleable.
Dr D Cook was assigned a lease of a ground floor apartment in Tenterden in April 2007. We are asked if we could estimate the compensation to the landlord could be for a ninety year extension to my lease. Identical homes in Tenterden with an extended lease were in the region of £255,000. The mid-range ground rent payable was £50 billed quarterly. The lease finished in 2096. Given that there were 70 years left we estimated the premium to the freeholder for the lease extension to be within £9,500 and £11,000 exclusive of professional charges.
Mrs Sarah Morgan acquired a first floor apartment in Tenterden in June 2006. The dilemma was if we could estimate the premium would likely be to prolong the lease by an additional years. Comparative homes in Tenterden with a long lease were valued about £246,800. The average amount of ground rent was £60 collected per annum. The lease lapsed on 21 May 2076. Taking into account 50 years remaining we approximated the compensation to the landlord to extend the lease to be between £44,700 and £51,600 plus costs.